Settlement still showing as Default

[AbigailLouise]

I received a letter from one of the debt companies that have taken over a debt I had for £165 they offered me a settlement payment of £50 so I took this offer and I have paid the £50

The guy I spoke to was rude and very unhelpful! He told me that this account would show up as Settled instead as Satisfied .. If I were to pay the £165 then it would be satisfied, he then went on to ask me a number of questions as to why I could afford to pay £50 but yet I can not pay £165.

 

So I am wondering what the difference between Satisfied & Settled is ?

[rebel11]

Hi Abigail

 

You've got it the wrong way around. A settled account is one where you made all the necessary payments on time and the account is now closed. A satisfied account is one where there have been arrears, but all payments have now been made and the account has been closed.

 

http://www.experian.co.uk/downloads/consumer/creditfileexplained.pdf

 

I received a letter from one of the debt companies that have taken over a debt I had for £165 they offered me a settlement payment of £50 so I took this offer and I have paid the £50

The guy I spoke to was rude and very unhelpful! He told me that this account would show up as Settled instead as Satisfied .. If I were to pay the £165 then it would be satisfied, he then went on to ask me a number of questions as to why I could afford to pay £50 but yet I can not pay £165.

 

So I am wondering what the difference between Satisfied & Settled is ?

[AbigailLouise]

The letter they sent me says

 

"NB when making a "settlement" payment, your credit reference agency file will show "settled" as opposed to "satisfied" when an account is paid in full."

 

The rude man I spoke to told me it would show as settled yet there would still be £116 left on the account (although I do not have to pay this) It will show on my credit file for 6 years. He also said a "settled" would still deter lenders/creditors to consider me where as a "satisfied" would make them consider me.

[rebel11]

Hi Abigail

 

Have a read of page 11 in the link, I think they've got it wrong. But if they do that, it benefits you.

 

The letter they sent me says

 

"NB when making a "settlement" payment, your credit reference agency file will show "settled" as opposed to "satisfied" when an account is paid in full."

 

The rude man I spoke to told me it would show as settled yet there would still be £116 left on the account (although I do not have to pay this) It will show on my credit file for 6 years. He also said a "settled" would still deter lenders/creditors to consider me where as a "satisfied" would make them consider me.

[AbigailLouise]

Thank you

[dx100uk]

wont matter a monkeys if you have a default on the account.

 

i hope you sent them a CCA request first......

 

dx

[AbigailLouise]

A few months ago I received a settlement off for a debt that I owed,

the offer was one that I couldn't pass up so I paid it and was told it would be marked as settled on my credit file.

 

 

I have just been on to have a general look at my credit file and the account is still showing up as a default.

 

Should it not be marked as settled by now ( 2 months after the payment was made)

 

 

All they have done is deducted the amount I had paid from the final amount.

 

 

So it states I still owe £116.

 

 

I thought once I accepted the offer and paid that would be that debt done with ?

 

 

Is this not the case ?

 

 

will I have to pay the £116 before the account will be closed ?

 

I feel like I am taking one step forwards and 7 back

[Andyorch]

Did you and they put it in writing that this was subject to full and final settlement AbigailLouise?

 

Regards

 

Andy

[AbigailLouise]

Yes, we both agreed that it would be a final settlement as both them and their client would like a "mutually agreeable solution".

 

"They would accept £49.78 to settle the account

NB when making a "settlement" payment, your credit reference agency file will show as "settled" as opposed to "satisfied" when an account is paid in full"

 

^^ Quoted from the letter

[BRIGADIER2JCS]

A few months ago I received a settlement off for a debt that I owed, the offer was one that I couldn't pass up so I paid it and was told it would be marked as settled on my credit file. I have just been on to have a general look at my credit file and the account is still showing up as a default.

 

Should it not be marked as settled by now ( 2 months after the payment was made) All they have done is deducted the amount I had paid from the final amount. So it states I still owe £116. I thought once I accepted the offer and paid that would be that debt done with ? Is this not the case ? will I have to pay the £116 before the account will be closed ?

 

I feel like I am taking one step forwards and 7 back

 

 

When you accepted the off did you do so on the understanding that the default would be removed , or did you just accept the files would be marked settled.

Was the offer to take an amount in full and final settlement of the debt?

 

 

The CRAs will not remove the entries placed by the creditor as it shows that the defaulted account was partially settled and there was a balance remaining, the fact the account was defaulted must still be displayed.

 

 

Any way which CRA are you using please.

[AbigailLouise]

Yes, when I rang and made the payment they informed me that the default would be removed

and it would be marked as settled, but it would remain on my credit file for another 2 years (2016).

 

 

Which I was happy with ( one less thing showing up as a default)

Although 2 months on it is still a default with money still owing.

 

I have contacted the CRA who have said they will look into it for me,

 

 

and now I am debating if I should contact Mackenzie hall myself.

 

I am using Noddle

[Andyorch]

Might be worth checking the other big 2 first Exp & Equ Noddle is not that reliable

 

I would then ring and ask when are they going to comply with your agreement?

 

Your credit file should be showing " Settled in full " for the remainder of the default period (6 years) this then has no effect on your credit rating.

[AbigailLouise]

I will send them an email now. Thank you

[BRIGADIER2JCS]

Yes, when I rang and made the payment they informed me that the default would be removed and it would be marked as settled, but it would remain on my credit file for another 2 years (2016). Which I was happy with ( one less thing showing up as a default) Although 2 months on it is still a default with money still owing.

I have contacted the CRA who have said they will look into it for me, and now I am debating if I should contact Mackenzie hall myself.

 

I am using Noddle

 

 

I think you have answers/explanations your problem right here.

1. The "agreement" was made verbally.

2. It was made with Mackenzie Hall, one should Never rely on verbal agreements with DCAs.

3. You are using Noddle an offshoot of Call Credit and uses 2nd hand data and is not always up to date.

 

 

Check a mainstream CRA Equifax and Experian have 30 day free trials it's possible that they carry the corrected data.

[dx100uk]

you got had

[BRIGADIER2JCS]

you got had

 

 

Yep Big Time!!!

 

 

Never "negotiate" with a DCA verbally!!

[Andyorch]

This was in writing see post #2 & #3 not verbal.

[BRIGADIER2JCS]

Yes, when I rang and made the payment they informed me that the default would be removed and it would be marked as settled, but it would remain on my credit file for another 2 years (2016). Which I was happy with ( one less thing showing up as a default) Although 2 months on it is still a default with money still owing.

I have contacted the CRA who have said they will look into it for me, and now I am debating if I should contact Mackenzie hall myself.

 

I am using Noddle

Telephone Contact???

 

 

Quoted From Phone Call.

[Andyorch]

Yes, we both agreed that it would be a final settlement as both them and their client would like a "mutually agreeable solution".

 

"They would accept £49.78 to settle the account

NB when making a "settlement" payment, your credit reference agency file will show as "settled" as opposed to "satisfied" when an account is paid in full"

 

^^ Quoted from the letter

 

Quoted from letter?

[AbigailLouise]

I received a letter today from Barclays

 

"Thank you for your recent payment.

 

Your debt has now been paid in full and we can confirm no further action will be taken against you"

 

So by the 2nd week in Sept it should appear as "settled" on my credit file .. 3 months later after receiving the payment

 

Thank you for your help

[BRIGADIER2JCS]

I received a letter today from Barclays

 

"Thank you for your recent payment.

 

Your debt has now been paid in full and we can confirm no further action will be taken against you"

 

But yet it is still showing on my credit report as a default :/

 

So by the 2nd week in Sept it should appear as "settled" on my credit file .. 3 months later after receiving the payment

 

Thank you for your help

 

 

Keep an eye on those CRA files!!

[dx100uk]

so you paid mucky hall to clear a Barclays debt?

 

 

dx